BRUSSELS: Eurozone inflation rose to 0.9 per cent in November from a four-year low of 0.7 per cent in October, and rose one per cent across the 28-nation European Union, Eurostat confirmed on Tuesday.
The data eases concerns that the bloc risks a damaging cycle of falling prices.
The figures showed energy prices continued to fall in November, down 1.1 per cent after a drop of 1.7 per cent in October, while food, drinks and alcohol rose 1.6 per cent, compared with a gain of 1.9 per cent.
The debt crisis has savaged growth and jobs in the 17-nation single currency eurozone, with government austerity policies sucking demand out of the economy.
Inflation has fallen steadily as a result – it ran at 2.2 per cent in November 2012 – and October's reading had sparked a flurry of concern that deflation, or falling prices in real terms, was looming.
Deflation is a key risk as it encourages consumers to put off buying goods in the expectation that if they wait, they will become cheaper.
Dear visitor, the comments section is undergoing an overhaul and will return soon.